Majority of Americans Unsure When They Will Clear Credit Card Bills

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NEW YORK--(BUSINESS WIRE)-- Klarna, the global digital bank and flexible payments provider, announced today new survey findings showing that revolving credit card bills are leaving many Americans unclear about how much they owe, how long repayment will take, and how their balances will impact the months ahead.

According to the survey conducted in partnership with Morning Consult, 53% of credit-card users worry their January bill may force them to cut back on discretionary spending in 2026, while nearly half (49%) say it could limit their ability to save or invest.

“Credit cards don’t tell you when the pain ends,” said Erin Jaeger, Head of North America at Klarna. “That uncertainty keeps people stuck in a monthly cycle of stress and repayments. With Klarna, you see the total cost upfront, you know exactly when each payment is due, and you know when you’re done — that clarity makes it easier to budget and move forward.”

According to the Consumer Financial Protection Bureau, the average cardholder now owes more than $5,300. In 2024 alone, Americans paid $160 billion in credit card interest.

Much of the challenge with credit cards stems from complexity and lack of transparency. Nearly two-thirds of Americans say credit-card companies make it difficult to understand how long it will take to pay off a balance. By contrast, BNPL users report significantly more clarity and control as they head into January. The vast majority of BNPL users know exactly what they owe, with 75% of survey respondents owing $200 or less, and consumers are five times more likely to say BNPL payments are easier to track than credit cards. Among BNPL users, 47% say BNPL made budgeting easier, and 44% say it reduced financial pressure compared with credit cards.

Methodology: Survey conducted by Morning Consult from December 26–28, 2025, among 2,004 U.S. adults. Results weighted to be nationally representative.

Forward-Looking Statements

This press release contains forward-looking statements within the meaning of applicable securities laws. These statements include, but are not limited to, statements regarding our future financial performance, business strategy, growth objectives, market opportunities, including the anticipated adoption of the various payment options that we offer. Words such as "believe," "expect," "anticipate," "intend," "plan," "will," "may," "could," "estimate," and similar expressions identify forward-looking statements. These forward-looking statements are subject to risks, uncertainties, and assumptions that could cause actual results to differ materially from those expressed or implied. Forward-looking statements reflect our views as of the date of this release and are based on information currently available to us. We undertake no obligation to update any forward-looking statements, except as required by law. Actual results may differ materially from those anticipated. Investors should not place undue reliance on these forward-looking statements and should review the risk factors in our filings with the SEC for a more complete discussion of risks.

About Klarna

Klarna is a global digital bank and flexible payments provider. With over 114 million global active Klarna users and 3.4 million transactions per day, Klarna’s AI-powered payments and commerce network is empowering people to pay smarter with a mission to be available everywhere for everything. Consumers can pay with Klarna online, in-store and through Apple Pay & Google Pay. More than 850,000 retailers trust Klarna’s innovative solutions to drive growth and loyalty, including Uber, H&M, Saks, Sephora, Macy’s, Ikea, Expedia Group, Nike and Airbnb. Klarna is listed on the New York Stock Exchange (NYSE: KLAR). For more information, visit Klarna.com.

Category: Perspectives

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Media contact:

press@klarna.com

Source: Klarna Group plc